Leveraging social capital to build the cumulative triple-A supply chain sand cone model

Purpose Drawing on the cumulative capability perspective, this study tests the sand cone model of the triple-A supply chain (SC) (i.e. AAA: SC-alignment, SC-adaptability, SC-agility), including its financial performance implications. Besides, this study investigates social capital as AAA enabler. Design/methodology/approach Structural equation modeling and bootstrapping analysis are used to examine hypotheses using data from 216 companies in China that capture firms’ supply chain management practices in relation to their major suppliers. Findings We identified a cumulative sand cone sequence of three As: alignment-adaptability-agility to effectively develop a triple-A SC. Furthermore, based on this sequence, SC adaptability can enhance financial performance indirectly through SC agility, and SC alignment can improve financial performance indirectly through SC adaptability and SC agility, which directly and positively affects financial performance. Furthermore, cognitive, structural, and relational capital play different roles in improving AAA. Originality/value This study contributes to triple-A SC literature by identifying the cumulative sand cone sequence of alignment-adaptability-agility and thus further extends the cumulative capability perspective in operations and supply chain management. Besides, this study: (1) deepens our understanding of performance implications of triple-A SC capabilities based on the sand cone model; (2) contributes to revealing social capital as an important enabler of triple-A SC capabilities from the complex adaptive system perspective; (3) specifies difference in the pattern of triple-A SC sand cone model across different levels of market turbulence.